On Monday (November 9), gold continued to consolidate near its recent highs as the market awaited new developments in the US-Iran situation and the US CPI report to be released the following day. Regarding the US-Iran issue, Trump stated that the US is unlikely to resume military action against Iran if sufficient progress is made in negotiations on Tehran's nuclear program and the reopening of the Strait of Hormuz. However, he emphasized that any decision to avoid further strikes would depend on Iran agreeing to a sufficiently strong agreement, adding that the US remains prepared to take military action if necessary. US Secretary of State Rubio stated that negotiations with Iran have made little progress, calling Tehran's demands "unacceptable," but stressed that Washington remains open to seeking a diplomatic solution. On the US CPI front, tomorrow's data could be the deciding factor in the December FOMC meeting's rate hike decision, with traders currently pricing in a 79% probability. A bullish report could see gold prices dip, but this decline is expected to be absorbed. This is because a rate hike at this juncture should exert greater downward pressure on stocks and long-term Treasury yields amid growth concerns. Conversely, weaker data should trigger an immediate, dovish repricing rebound. It's important to remember that in the current context, if Trump decides to escalate the war, inflation expectations will rise along with weakening growth prospects, creating a stagflation environment. This should be bullish for gold. Conversely, if the situation de-escalates, we may see a dovish repricing due to easing inflation concerns, which should also support gold in the short term. Gold Technical Analysis – Daily Chart On the daily chart, we can see that spot gold is consolidating above the trendline that has already been broken. Buyers may continue to add to their positions near these price levels, clearly positioning their risk below the trendline to continue targeting new highs. Conversely, sellers need to see the price break below this major upward trendline to open the door to new lows. Gold Technical Analysis – 4-Hour Chart On the 4-hour chart, we have a minor support zone around 4,040. If a pullback occurs again, we can expect buyers to enter near this support, clearly positioning themselves below the broken trendline to continue targeting the 4,500 level. Conversely, sellers will seek to break below this support, extending the pullback to the next minor uptrend line. Gold Technical Analysis – 1-Hour Chart On the 1-hour chart, we have another minor upward trendline that could act as support. Buyers may want to build positions in stages, in case the price breaks below the trendline and eventually bounces back near the support. Conversely, sellers need to wait for a break below this support to open the door to new lows. The red line in the chart defines today's Average Daily Range (ADR). Upcoming Catalysts On the economic calendar, we have the US CPI report. The latest US initial jobless claims will be released on Thursday. We end the week with the US PPI data on Friday.